$400m Hornet radar contract 'dumped'

A $400 million contract for an Australian firm to produce radar
and electronic sensors for the RAAF's fleet of Hornet fighter jets
will be dumped after the equipment was found to be an expensive
failure.

Known as the ALR2002, the electronic warfare self-protection
system developed by BAE Systems, the Adelaide company that won the
contract, was selected despite expert advice against the
technology, Fairfax Newspapers report.

Fairfax says Defence Minister Brendan Nelson has accepted the
findings to dump the Australian-made electronic warfare from the
Hornets and will take the recommendation to Cabinet.

RAAF engineers could not install the system, which enables a
pilot to detect enemy missiles and anti-aircraft fire and take
evasive action or launch a strike.

A Defence source reportedly said: "What we have now with (the
system) is way out-of-date. It restricts how we can use the Hornets
and how the government can utilise what is a very important and
very expensive asset."

An alternative, Raytheon's latest version of the ALR67, has
already been installed on Hornets overseas and has been selected by
Dr Nelson as the alternative.

The Raytheon was the model a panel of experts originally urged
the military to choose.

Hundreds of jobs are now reportedly under threat at BAE Systems,
and it is understood Dr Nelson is proposing an assistance package
to minimise job losses.